Bitcoin, Ethereum, Litecoin and most of the top 20 cryptocurrencies has started to take a nice dip starting Friday night/Saturday morning. Veteran traders took profits with intent or unintentionally through triggering self imposed stop losses. The rest of the market followed in sync.
You're probably wondering why the market hasn't rebounded yet? With all the momentum that cryptocurrencies are trading at you would think the market would fill that gap like a full power vacuum sucking in new and old money back in. So, let me explain. The timing was perfect on a Friday night early Saturday morning on a 3 day holiday weekend while three of the top cryptocurrencies were testing new highs. Bitcoin is testing new highs at near $5000.00 USD a coin, Ethereum is testing new highs near $400.00 USD a coin, and with Litecoin testing new highs near $100.00 USD a coin. Veteran traders knew this was a good time to take profits. Veteran traders took profits and the market followed suit and is currently panic selling. Noobs have not been through this yet. Veterans however knew this would be ample time to take profits and are now letting the panic selling to occur to capture new gains from this dip.
Furthermore, most people can't even initiate a wire transfer through their commercial bank on a Saturday much less actually wire money on a Saturday as the Federal Reserve bank or any Central bank isn't open for wire transactions on weekends. With cryptocurrency trading one can trade 24 hours a day with no limitations and no mediator. You just cant convert fiat to crypto on the weekend. Not a limitation with crypto but with the Federal Reserve and other Central Banks. With cryptocurrency ownership, you own and have complete control of your coins because you own the bank that holds your coins.
So what I predict is an ongoing short term weekend panic sell off. Why is it taking too long to fill the gap? Like I said thanks to the Federal Reserve and all other central banks, no one can wire their fiat currency on a weekend. They as a 3rd party mediator are limiting your ability to control or transfer “your money”. Add to this, it's a 3 day Holiday weekend! Monday is Labor Day in the USA which screws us US crypto traders from adding money to our Crypto Exchanges. However if you are one of the fortunate who had money in your crypto exchange account sitting in a holding pattern waiting for this expected dip or looking for your entry point, you could be ready right now with a finger on the trigger ready to buy the lows.
So what happens next? I'd say by Monday morning the Veteran crypto traders who took profits, the Veterans who set stop losses and those outside the US banking system waiting for a good entry point will buy the dip before the ensuing mad rush Tuesday morning. If the gap doesn’t get filled Monday morning (highly unlikely IMO), I predict the markets will fill the gap in no time Tuesday morning as investors race to get their wires in and orders filled. So in the meantime we are going to see an up and down ping ponging downward triangle pattern with a major bounce that may be the catalyst to break the new highs. So in other words this is a buy opportunity. This right here and now is the time to buy the proverbial dip.
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Disclaimer: We are a news media outlet and all posts are only opinions. Please do your own due diligence when investing in any product or service. Good luck my friends.🤔🤨🏦👊💪😋🤤🤑😎💖
